The animal feed business resulted a growth of 21 per cent

Godrej Agrovet has reported its financial performance for the second quarter and half year ended September 30, 2021, of the financial year 2021-22. The company reported consolidated total income and consolidated profit before tax of Rs 2,159.7 crore and Rs 149.8 crore, respectively. For the half-year ended September 30, 2021, the company reported consolidated total income and consolidated profit before tax of Rs 4,162.9 crore and Rs 287.2 crore, respectively.

For the animal feed business, it was one of the best quarterly performances with segment results growing by 21 per cent, supported by volume growth, the introduction of new products and R&D benefits realisation. Vegetable oil benefitted from higher oil prices and increased efficiencies and posted excellent segment results of Rs 78 crore for the second quarter which was a 1.9x increase year-on-year. Profitability of standalone crop protection business declined by 24 per cent due to erratic and inconsistent rainfall which reduced application opportunities of agrochemicals. Segment results were also impacted by inflation in raw material prices which could not be absorbed resulting in lower margins.

In the food businesses, higher input and procurement costs impacted the performance in the current quarter. The dairy subsidiary, Creamline Dairy registered a lower EBITDA profit of Rs.4.1 crore due to an increase in the milk procurement costs. The performance of our poultry and poultry products business improved in the second quarter after a challenging first quarter as end-product prices improved. As a result, Godrej Tyson Foods registered an EBITDA of Rs 10.1 crore in Q2 FY22.